Ans. to the Q. no. 2 =17.5 (B.M.

) (Number distribution up to = (a) prime cost 3; (b) factory cost 3+ 5= 8; (c) Total cost of
goods sold 8+8 =16; (d) sales 16+1.5=17.5 ABC Company Ltd. Cost sheet (For the month ending ..................)
Tk. Tk. Tk.
Opening Stock of Raw Materials:
Add: Materials purchased
Frieght inward for Raw materials

Less: Purchase Return

Purchase Discount
Raw materials available for use:
Less: Less Closing Stock of Raw Materials
Raw materials consumed:
Add: Direct wages paid
Due direct wages
Add: Direct Expenses
(a) Prime Cost:
Add: Factory overhead :
Wages for foreman
Storekeeper’s Wages
+ due

Storekeeper’s Wages to factory and distribution

Oil and Water
Factory Supervision
Repairs and Renewals: Factory Plant
Misc. Factory Expenses
Heat, Light and Power:
Heat, Light and Power to Factory, Office and
Distribution in the ratio:
Depreciation:
Plant and Machinery
Office Premises
Depreciation on Office Premises to Factory,
Office and Distribution in the ratio
(b) Gross Works Cost/ Factory Cost:
Add: Opening Work-in-Progress

Less: Closing Work-in-Progress

Add: Administrative overhead:

Office Salaries
Telephone and Postage
Repairs and Renewals: Office Premises
Heat, Light and Power:
Heat, Light and Power to Factory, Office and
Distribution in the ratio:
Depreciation: Office Premises
Depreciation on Office Premises to Factory,
Office and Distribution in the ratio
Cost of goods sold:
Add: Opening Finished Stock

Less: Closing Finished Stock

Good available for Sale:
Add: Selling and distribution overheads :
Carriage outward
Sales Commission
Sales Traveling
Sales Promotion
Salaries –Distribution Dept.

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 Tk. Tk. Tk.
Advertisement Expenses
Warehouse charges
Storekeeper’s Wages to factory and distribution
Heat, Light and Power:
Heat, Light and Power to Factory, Office and
Distribution in the ratio:
Depreciation: Office Premises
Depreciation on Office Premises to Factory,
Office and Distribution in the ratio
Opening Packing Materials
(+) Packing materials purchased
Available for packing materials
(-) Closing Packing Materials
(c) Total Cost of goods sold :
Add: Profit 20% on Sales i.e. 25% on cost
(d) Sales